Set Up a Representative Office in Thailand

Setting up a Representative Office in Thailand is a cost-effective way for companies to establish their presence in the country. The Representative Office can conduct non-income-generating activities on behalf of its parent company.

The Department of Business Development usually issues a certificate within two to four weeks following submission of the required documents, which permits the Representative Office to start operations.


The costs associated with setting up a representative office in Thailand vary depending on the type of business and the location. The company should conduct a feasibility study before opening a representative office to determine the market potential, competition, and regulatory requirements. A professional service firm can assist with the study and prepare all necessary documentation.

The cost of a representative office in Thailand is less than that of a branch office because it is not required to pay income tax. However, the office must register for tax and pay withholding taxes on employee wages.

The representative office must submit a copy of its incorporation declaration, a power of attorney signed by the manager, and copies of passports for the managers. The manager may be a foreigner or a Thai citizen. The representative office must also remit a minimum capital of 3 million baht over five years for operating expenses, with 2 million baht to be remitted in the first year.

Feasibility study

Foreign companies looking to expand into the Thai market should first conduct a thorough feasibility study. This will help them understand the risks and benefits of opening a branch or regional office in Thailand. It will also help them determine the best location for their offices.

A representative office is a business entity that operates in Thailand on behalf of its parent company or group of companies in other countries. Its activities include sourcing, providing advice to customers or agents about goods, and reporting information back to the head office.

A representative office is not required to pay any taxes in Thailand because it does not generate income. However, it must still meet all reporting and compliance requirements. In addition, it must comply with local labor laws and hire employees with the appropriate work permits and visas. It must also establish a physical office in Thailand. This can be rented or purchased. The office should also have the necessary equipment and technology.

Licensing and registration

There are a number of requirements that need to be met for a representative office in Thailand. For one, it must report its trade movement to the head office and affiliated companies. It must also be a single legal entity and not have a Thai partner or shareholding. It should also have a minimum capital of 3 million baht. It must also pay government fees.

Representative offices manage service businesses in Thailand on behalf of their head office or an affiliated company in another country. However, they cannot generate income in Thailand and are not subject to corporate income tax in accordance with the Revenue Code except for deposit interest on remaining funds from the head office.

The representative office must have a manager who is qualified for the job and has the necessary experience. In addition, it must be able to comply with the laws and regulations in Thailand. It must also provide annual reports to the Department of Business Development.


A representative office is an ideal entity for foreign investors who are interested in exploring the Thai market without incurring the high costs of a foreign business license. It can be 100% foreign-owned and can issue two work permits for its employees. However, it must only perform non-revenue-generating activities and cannot accept purchasing orders or offer sales or negotiate with any person or juristic person in Thailand.

The following documents need to be submitted in order to set up a representative office in Thailand:

A notarized copy of the power of attorney of the agent or principal manager. If the manager is a foreign citizen, then he or she must submit a copy of their passport along with proof of permission to enter and stay in Thailand.

Other important documents include a list of the goods and services that will be provided by the Representative Office, an annual report, and the name, address, and map of the office space. The company must also submit the reason for establishing the office, its estimated impact on the Thai economy, and its investment plan.

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